SC businessman guilty of illegal exports to Iran

Thursday, December 06, 2012

The U.S. Justice Department said Markos Baghdasarian, manager of Delfin Group USA LLC, pleaded guilty on Tuesday in the District of South Carolina to charges of conspiracy to violate the International Emergency Economic Powers Act (IEEPA) by making illegal exports to Iran.
In addition, he made false statements and failed to obtain the proper U.S. government licenses that these shipments require.
At sentencing, Baghdasarian faces up to five years in prison for conspiring to violate IEEPA, in addition to 20 years for violating IEEPA and five years for making false statements. He was arrested on May 19 in Atlanta on a criminal complaint issued in the District of South Carolina and was later indicted on June 14.
In May 1995, President Clinton, under executive IEEPA authority, declared a trade embargo with Iran, prohibiting U.S. export to Iran of any goods, technology or services with limited exceptions.
According to the indictment, Baghdasarian served as the manager of Delfin Group USA, located in Charleston, S.C., which supplies automotive and marine lubricants to domestic and international markets. From as early as June 13, 2010, until Oct. 12, 2011, he engaged in prohibited transactions with customers in Iran, the Justice Department said.
Also detailed in the court documents, Baghdasarian and others received orders from customers in Iran for Delfin USA products. Baghdasarian then registered “paper” companies in the United Arab Emirates and produced fictitious labels for Delfin USA's products to obscure the company’s identity from export enforcement officials.
In addition, he concealed from the U.S. government that the materials were being sold to customers in Iran by falsely stating that the U.A.E. was the final end destination of goods intended for Iran. Baghdasarian also caused Delfin USA products to be sold to customers in Iran without obtaining a license from the Treasury Department.